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Termination fees in mergers and acquisitions: Protecting investors or managers?

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dc.contributor.author Andre P.
dc.contributor.author Khalil S.
dc.contributor.author Magnan M.
dc.contributor.editor
dc.date 2007
dc.date.accessioned 2017-09-07T07:51:38Z
dc.date.available 2017-09-07T07:51:38Z
dc.date.issued 2007
dc.identifier 10.1111/j.1468-5957.2007.02032.x
dc.identifier.isbn
dc.identifier.issn
dc.identifier.uri http://hdl.handle.net/10938/12262
dc.description.abstract Institutional investors closely monitor termination fees in mergers and acquisitions (MandA). We argue that their magnitude reflects either agency problems or efficiency considerations. Focusing on MandA involving Canadian targets between 1997 and 2004, we assess the determinants and market impact of termination fees. Our findings show that the Thomson's SDC Platinum™ Worldwide Mergers and Acquisitions Database underestimates their extent. Results suggest that termination fees are essentially an efficient mechanism as they are relatively higher in MandA with high merger costs, a cash component and expected operating synergies. Stock market returns surrounding the deal announcement do not differ across levels of relative termination fees. © 2007 Blackwell Publishing Ltd.
dc.format.extent
dc.format.extent Pages: (541-566)
dc.language English
dc.publisher OXFORD
dc.relation.ispartof Publication Name: Journal of Business Finance and Accounting; Publication Year: 2007; Volume: 34; no. 41702; Pages: (541-566);
dc.relation.ispartofseries
dc.relation.uri
dc.source Scopus
dc.subject.other
dc.title Termination fees in mergers and acquisitions: Protecting investors or managers?
dc.type Article
dc.contributor.affiliation André, P., HEC Montréal and Management School and Economics, University of Edinburgh, United Kingdom, School of Management and Economics, University of Edinburgh, EH8 9JY, United Kingdom
dc.contributor.affiliation Khalil, S., Suliman S. Olayan School of Business, American University of Beirut, Lebanon
dc.contributor.affiliation Magnan, M., John Molson School of Business, Concordia University, Montréal, Canada
dc.contributor.authorAddress André, P.; School of Management and Economics, University of Edinburgh, EH8 9JY, United Kingdom; email: paul.andre@ed.ac.uk
dc.contributor.authorCorporate University: American University of Beirut; Faculty: Suliman S. Olayan School of Business; Department: School of Business;
dc.contributor.authorDepartment School of Business
dc.contributor.authorDivision
dc.contributor.authorEmail paul.andre@ed.ac.uk
dc.contributor.authorFaculty Suliman S. Olayan School of Business
dc.contributor.authorInitials Andre, P
dc.contributor.authorInitials Khalil, S
dc.contributor.authorInitials Magnan, M
dc.contributor.authorOrcidID
dc.contributor.authorReprintAddress Andre, P (reprint author), Univ Edinburgh, Sch Management and Econ, Edinburgh EH8 9JY, Midlothian, Scotland.
dc.contributor.authorResearcherID
dc.contributor.authorUniversity American University of Beirut
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dc.description.citedCount 4
dc.description.citedTotWOSCount 4
dc.description.citedWOSCount 4
dc.format.extentCount 26
dc.identifier.articleNo
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dc.identifier.pubmedID
dc.identifier.scopusID 34249791508
dc.identifier.url
dc.publisher.address 9600 GARSINGTON RD, OXFORD OX4 2DQ, OXON, ENGLAND
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dc.relation.ispartofConferenceCode
dc.relation.ispartofConferenceDate
dc.relation.ispartofConferenceHosting
dc.relation.ispartofConferenceLoc
dc.relation.ispartofConferenceSponsor
dc.relation.ispartofConferenceTitle
dc.relation.ispartofFundingAgency
dc.relation.ispartOfISOAbbr J. Bus. Finan. Account.
dc.relation.ispartOfIssue 41702
dc.relation.ispartOfPart
dc.relation.ispartofPubTitle Journal of Business Finance and Accounting
dc.relation.ispartofPubTitleAbbr J. Bus. Financ. Account.
dc.relation.ispartOfSpecialIssue
dc.relation.ispartOfSuppl
dc.relation.ispartOfVolume 34
dc.source.ID WOS:000246923100009
dc.type.publication Journal
dc.subject.otherAuthKeyword Break fees
dc.subject.otherAuthKeyword Kill fees
dc.subject.otherAuthKeyword Mergers and acquisitions
dc.subject.otherAuthKeyword Termination fees
dc.subject.otherChemCAS
dc.subject.otherIndex
dc.subject.otherKeywordPlus CORPORATE GOVERNANCE
dc.subject.otherKeywordPlus CEO TURNOVER
dc.subject.otherKeywordPlus A LOCKUPS
dc.subject.otherKeywordPlus PERFORMANCE
dc.subject.otherKeywordPlus SHAREHOLDERS
dc.subject.otherKeywordPlus OWNERSHIP
dc.subject.otherKeywordPlus IMPROVE
dc.subject.otherKeywordPlus MARKET
dc.subject.otherWOS Business, Finance


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